Dollar Tree Sees Higher Q2 Results; Lifts FY22 Forecast - Update

(RTTNews) - While announcing higher first-quarter results on Thursday, discount store company Dollar Tree, Inc. (DLTR) issued second-quarter outlook, higher than last year, and raised its view for fiscal 2022 earnings and sales.

In pre-market activity on Nasdaq, Dollar Tree shares were gaining around 15.7 percent to trade at $154.50.

For the second quarter, the company expects earnings per share in the range of $1.45 to $1.55, including around $0.24 per share for costs associated with the West Memphis distribution center and stock compensation expense.

Consolidated net sales for the second quarter will range from $6.65 billion to $6.78 billion, based on a low-to-mid single-digit increase in same-store sales for the enterprise.

On average, analysts polled by Thomson Reuters expect earnings of $1.71 per share for the quarter on sales of $6.75 billion. Analysts' estimates typically exclude special items.

In the prior year's second quarter, the company's earnings were $1.23 per share on sales of $6.34 billion.

Further, for fiscal 2022, Dollar Tree now expects earnings per share range from $7.80 to $8.20, higher than previously expected $7.60 to $8.00.

Consolidated net sales for the year are now expected to range from $27.76 billion to $28.14 billion compared to previously expected range of $27.22 billion to $27.85 billion.

Analysts expect earnings of $7.97 per share on sales of $27.95 billion for the year.

The company expects to deliver a mid-single-digit comparable store sales increase for the year, comprised of a high single-digit increase in the Dollar Tree segment and more or less flat comparable store sales in the Family Dollar segment.